 For many years America, Australia and New Zealand have pioneered the scheme and it is now becoming more and more popular in the UK. Now, 123Our House are introducing it to your local area.
- Register your details with 123OURHOUSE
- We call for a chat and to confirm some details
- We look for a property to suit and set up a viewing
- If you like the property, we agree on rent, option fee deposit and the term (usually 36-60 months)
- Paperwork is drawn up by a solicitor
- You move into your new home
- You purchase the property at the agreed time, keeping any equity that the property has gained.
- You can buy the property at ANY time during the term
- You are NOT obliged to buy.
 Example 1
Mr & Mrs Clayton found a property they like on the Rent2Own scheme and want to enter into an agreement to purchase the property in 48 months time.
- Today’s market value of the property is £100,000
- They will pay £109,000 for the property in 2014
- If the property is worth more in 36 months time, say £118,000, they will get to keep the extra growth/equity
- They pay a £2,180 up front ‘starter fee’ (Rent2Own deposit) which will come off the purchase price at the end of the term
- The market rent for the property is £475 per month for the duration of the term with NO INCREASES!
- They can afford to pay an extra £78 ‘top up’ per month on top of the monthly rent payment. These ‘top ups’ can come off the purchase price at the end of the term
- We match this top up £ for £
- Mr & Mrs Clayton live in the house for 4 years, treating it like their own and then comes the day to complete the purchase, this is how it can work;
- The purchase price is £109,000
- Mr & Mrs Clayton need a mortgage for 90% of the purchase price
- They have the original starter money of £2,180 they put in at the beginning
- They have monthly top ups of £78 x 48 = £3,744
- We can match the top ups £ for £ = another £3,744
- In total £9,668 towards a deposit of £10,900 meaning that they only have to put in another £1,232to be able to buy their dream home
- If the property is worth more than £109,000, you get to keep that too!
 Example 2
Mark & Sarah were growing out of their accommodation fast, due to the recent arrival of baby Thomas! They had talked for years about buying their own home, but like many others this was a distant dream and it was almost impossible to save anywhere near what is now required for a deposit to buy in the traditional way.
They had heard about us through one of their friends, who were sent a cheque for £250 once they moved in, just for recommending 123OurHouse! They initially got in contact and gave us details on the type of property they wanted, how many bedrooms and information on how much they could afford to put down as an option fee and monthly rent. We explained that the more they put down and could afford on a monthly basis, the quicker they will have 100% ownership.
Mark and Sarah had £5000 as an option fee and could afford to pay a total of £600 pcm. Each month £100 of this goes towards their actual mortgage deposit and each month we add £100 123Our House bonus instalment. We were able to find them a 3 bed property with two reception rooms, which had just been refurbished to a very good standard. They wanted to purchase the property in full over 48 months so we devised the payment plan as follows –
- Purchase price in 48 months £115,000
- Option fee £5000
- Top ups £100 per month
- 123OurHouse £100 bonus per month
- After 1st year - £2,400
- After 2nd year – £4,800
- After 3rd year - £7,200
- Final 4th year - £9,600
- £5,000 option fee plus £9,600 = £14,600
£14,600 is just short of the 10% deposit that may be required by the banks when it comes to completing on the property at the end of 48 months. In this case, Mark & Sarah have taken our advice and will make over-payments whenever possible as they are aiming for a slightly bigger deposit which will get them a better mortgage rate when the time comes.
The process took 4 weeks from start to finish and this included a small amount of building work that they chose to undertake before moving in!
Mark, Sarah & Thomas are extremely happy and enjoying their new home. They have been in the property for over 5 months and have recommended 2 people to us so far – earning them £500! They tell me they organised a babysitter and booked a nice restaurant!!
 Example 3
In her own words - Emma Faulkner and her family are living in their own 3 bed semi detached house, they have made improvements, added value to their home by installing a new kitchen and have great plans for an extension in 18 months time. Their children are in schools that they want as they were able to move into the right catchment area and every month part of their rent is going towards buying their dream home.
But it wasn’t always like this for Emma. 12 months ago her family were living in a small 2 bed rented flat with no garden, and not near enough to her friends and family and the school she wanted her children in. Home ownership seemed like a distant dream.
They both work hard but could never seem to get out of the rental trap, they had been trying to save, but it was never enough and with the credit crunch biting, banks tightening their lending criteria and poor credit history, it was 10 times worse.
But all that changed when Emma saw one of our leaflets and gave us a ring at 123OurHouse...
‘It was simple. I called Jane and she explained that, if we qualified, they could help me to own my own home on a Rent2Own scheme. She said we could use our savings of £3,200 towards owning a home and we won’t have to qualify for a mortgage until we decide to buy. This gave us plenty of time to repair our credit score. The banks wanted us to have savings of £22,000 and an income of £40,000 per year. We were never going to make that’
‘We moved in, in less than 3 weeks and it was all taken care of by solicitors. We picked up the keys and the home was ours to make improvements and add value, we just couldn’t believe it was so simple. We don’t have to worry that the landlord may ask us to leave at the end of the tenancy; we are settled and extremely happy. Now 8 months on the property has increased in value because of the improvements that we have made, our deposit is growing day by day and the children are enjoying their new school and friends. We can easily manage our finances and are saving for further improvements.’
You too could be a family just like Emma’, making their dream of home ownership come true, by investing your money in your family’s future and using your rent money, not wasting it on landlords . . . STOP PAYING DEAD RENT NOW!
We have had a rapid uptake on houses – more than we had anticipated!
We operate on a strict first come first serve basis (if you meet the criteria)
We advise you to REGISTER TODAY to avoid disappointment – what do you have to lose? Now is the time!
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